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Property insurance rates keep falling during midyear renewals - Business Insurance Skip to content Register for free Search Search Log In Risk Management Cyber Risks Pricing Trends Mergers & Acquisitions Technology Sponsored Content WSIA RISKWORLD Workers Comp & Safety Workers Comp Cost Control Pain Management Workplace Safety International EMEA Asia-Pacific Latin America People Events BI Intelligence Top 100 Agents & Brokers Best Places to Work 2025 Lists Directories Insurance Pricing BI Stock Index Magazine Current Issue Past Issues Subscribe Women to Watch ALL INsurance Resources Risk Perspectives Sponsored Content Webinars White Papers Risk Management Cyber Risks Pricing Trends Mergers & Acquisitions Technology Sponsored Content WSIA RISKWORLD Workers Comp & Safety Workers Comp Cost Control Pain Management Workplace Safety International EMEA Asia-Pacific Latin America People Events BI Intelligence Top 100 Agents & Brokers Best Places to Work 2025 Lists Directories Insurance Pricing BI Stock Index Magazine Current Issue Past Issues Subscribe Women to Watch ALL INsurance Resources Risk Perspectives Sponsored Content Webinars White Papers Risk Management Cyber Risks Pricing Trends Mergers & Acquisitions Technology Sponsored Content WSIA RISKWORLD Workers Comp & Safety Workers Comp Cost Control Pain Management Workplace Safety International EMEA Asia-Pacific Latin America People Events BI Intelligence Top 100 Agents & Brokers Best Places to Work 2025 Lists Directories Insurance Pricing BI Stock Index Magazine Current Issue Past Issues Subscribe Women to Watch ALL INsurance Resources Risk Perspectives Sponsored Content Webinars White Papers Risk Management Cyber Risks Pricing Trends Mergers & Acquisitions Technology Sponsored Content WSIA RISKWORLD Workers Comp & Safety Workers Comp Cost Control Pain Management Workplace Safety International EMEA Asia-Pacific Latin America People Events BI Intelligence Top 100 Agents & Brokers Best Places to Work 2025 Lists Directories Insurance Pricing BI Stock Index Magazine Current Issue Past Issues Subscribe Women to Watch ALL INsurance Resources Risk Perspectives Sponsored Content Webinars White Papers Property insurance rates keep falling during midyear renewals by Claire Wilkinson P/C Pricing , Property Arthur J. Gallagher & Co. , Marsh , USI Insurance Services Jul 14, 2026 Commercial property insurance rates continued to fall at midyear renewals as abundant capacity and heightened competition created opportunities for buyers to secure additional limits, broaden coverage and improve policy terms and conditions. Buyers should continue to benefit from pricing relief through year-end as insurers compete to retain and grow business, barring a catastrophic hurricane season, brokers say. Global insured catastrophe losses totaled about $35 billion in the first half of the year, below the inflation-adjusted five-year average, driven largely by severe convective storms, according to Guy Carpenter & Co.’s July reinsurance renewals report. Colorado State University forecasters last week lowered their outlook for Atlantic hurricane activity, citing strengthening El Niño conditions. The downward pricing trend follows an average 15% rate reduction across Aon’s property book in the first quarter, marking the eighth consecutive quarter of declines, said Vincent Flood, New York-based U.S. property practice leader at Aon. Shared and layered programs continued to see the largest rate decreases at midyear renewals as insurers competed aggressively for large accounts that typically require multiple insurers and generate significant premium volume, he said. Single-insurer programs have also begun to see steeper rate declines, averaging about 9% over the past two quarters, as insurers that traditionally focused on shared and layered business compete for growth, Mr. Flood said. Buyers are increasingly focused on improving terms and conditions rather than simply pursuing rate reductions, he said. “We’re beginning to see more value in seeking improvements in terms and conditions, whether that’s lowering retentions or increasing sublimits, specifically catastrophe sublimits,” he said. “Insurers are trying to hold on to as much premium as possible, and so the value of reducing a retention might be worth more than a 15% rate reduction.” Rate decreases continued to accelerate in the second quarter across composite, single-insurer and catastrophe-driven business, said Gregory Mann, Atlanta-based U.S. property placement leader for Marsh Risk. Competition continues to intensify as new managing general agents enter the market, existing insurers expand capacity and broker-backed facilities develop, he said. Rate reductions for shared and layered accounts were roughly twice those of single-insurer placements, which are now seeing pricing declines approaching 10%, Mr. Mann said. “This market is granting concessions in deductibles and limits and form,” he said. Buyers are securing higher catastrophe and noncatastrophe limits, caps on percentage windstorm deductibles, broader coverage extensions and fewer policy non-concurrencies or differing terms among participating insurers, in addition to lower pricing, he said. “It is a buyer’s market.” Insurers are showing greater flexibility with percentage windstorm deductibles in some Tier 1 wind zones, said Martha Bane, Glendale, California-based property practice leader at Arthur J. Gallagher & Co. While 5% named-windstorm deductibles remain common in Miami-Dade County, insurers are increasingly willing to discuss lower deductibles in inland Florida and parts of Texas, she said. Rate decreases were more pronounced for July renewals than earlier in the year, but some insurers are “drawing the line” on further reductions, Ms. Bane said. While new entrants continue to push prices lower, some incumbent insurers are becoming more disciplined, she said. Buyers are increasingly weighing existing insurer relationships against more aggressive terms offered by new market entrants, she said. Rate decreases exceeded 40% on some large catastrophe-exposed shared and layered deals, said Jeff Buyze, Orlando, Florida-based vice president and national property practice leader at USI Insurance Services. One of USI’s largest property renewals, a hospitality account, secured a 31% rate reduction, driven by increased capacity and competition from new entrants and incumbent insurers, he said. Competition is increasingly spilling over into single-insurer placements, “where shared and layered placements have unseated some incumbents,” Mr. Buyze said. Buyers are using favorable market conditions to pursue higher catastrophe limits, lower deductibles, broader terms and improved policy language, Mr. Buyze said. “If there’s anything that you lost in the hard market, now’s the time to get it back,” he said. Southwire saw few changes to its single-insurer property insurance program, which renewed July 1, said Tamieka Weeks, director of global risk management and insurance at the Carrollton, Georgia-based wire and cable manufacturer. The family-owned company has more than $1 billion in assets and more than 60 facilities in the U.S. and internationally. “The actual rate increase was expected to be between flat and 5%, and we were right within that range at renewal, so it was a very favorable outcome for our organization,” she said. This year’s renewal was calmer than a year ago, when new hail and flood sublimits were introduced, said Ms. Weeks, a board member of the Risk & Insurance Management Society. Southwire purchases flood insurance through the National Flood Insurance Program to reduce its flood deductible, she said. Loss activity remains low, insurers continue to pursue growth and capital continues to flow into the market, supporting further rate decreases through year-end, Mr. Mann said. “The market has not yet reached a floor,” he said. A major catastrophe would likely be required to stabilize pricing, he said. 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